ASGN Incorporated: Maintaining Bearish Stance Despite Lofty 2028 Projections
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Individual Trader17.89K FollowersFollow5ShareSavePlay(10min)CommentsSummaryASGN Incorporated remains rated 'Sell' due to persistent poor earnings trends, declining margins, and bearish long-term technicals.Despite a 20% rally post-investor day to date, ASGN's Q3 revenues, gross profit, and GAAP income all declined year-over-year, with trailing net income margin now at 3.28%.The transition to Everforth and a $1 billion buyback aim to improve operational efficiency, but long-term AI impacts and execution risks remain high.Management's 2028 targets of $4.3 billion in sales and $193+ million earnings are viewed as overly ambitious given current profitability and technical weakness. HudHudPro/iStock via Getty Images Intro We last wrote on ASGN Incorporated (ASGN) in September of this year when we downgraded the IT staffing provider to a 'Sell'. Reasons for our bearishness at the time revolved around poor earnings trends, decliningThis article was written byIndividual Trader17.89K FollowersFollowIndividual investor with a keen interest in deriving income from investment setups. We do this by buying undervalued profitable stocks with strong balance sheets & minimal debt. Furthermore, when the opportunity arises, we like to write calls against our positions to bring in additional income. Risk management is controlled through position sizing & the use of trailing stop losses over time.Individualtrader.netAnalyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.